Torrington staff: $4 million conditional brownfield grant tied to environmental assessment for 100 Franklin Drive

Economic development staff reported that the city received a conditional $4,000,000 brownfield remediation grant for 100 Franklin Drive and is working to meet the award's conditions, including completing environmental assessment work. The staff member said the city is seeking to transfer the remediation project from the Brownfield Land Bank into a city-led contract and has produced a purchase-and-sale agreement for the property; the developer Penrose is planned to take ownership after cleanup. "The city did get awarded a $4,000,000 grant on certain conditions," the economic development staff said, adding that the land bank will finish the Phase 2/3 assessment deliverables that the city will submit to DCD to substantiate the contamination conditions.

Staff described negotiations with NIDEC over indemnity language: the city is asking NIDEC to remain responsible for contamination up to the point when the city "puts shovels in the dirt" and contractors and their liability insurance take over once remediation construction begins. Staff explained that the state agency's conditional award could be adjusted after the environmental report; the city originally applied for $6 million and the grantor may increase the award if the assessment supports a larger cleanup. The staff member added that any supplemental brownfield funding is subject to program rules that generally allow adjustments up to 50% of the original award.